19 February 2016

Allison Layton, who owned a California company called
Miracles Egg Donation (Miracles), claimed she was in the business of helping
infertile couples have children. But her business turned out to be a fraud, and
she ended up stealing her victims’ hopes and dreams as well as their money.

Would-be parents paid Miracles tens of thousands of
dollars—sometimes their life savings—for egg donation and surrogacy services
that Layton promised to coordinate. Instead, during a three-year period
beginning in 2008, she defrauded couples, egg donors, and surrogate mothers while
living a lavish lifestyle off the proceeds.

“This was not a typical white-collar case,” said Special
Agent Dana Eads, who led the investigation from the FBI’s Los Angeles Division.
“Many of the victims were in a vulnerable place in their lives—working against
their biological clocks and trying to afford this expensive and time-consuming
procedure. Some told the judge that because of Layton’s actions, they had
effectively missed the opportunity to have children.”

The fees paid to Miracles by would-be parents—known in
the surrogacy world as intended parents—were supposed to go into escrow
accounts to be withdrawn for expenses related to surrogacy or egg donation. But
Layton took the money and spent it on her own $60,000 wedding, a new vehicle
for her husband, and high-end shopping sprees she flaunted on social media.

As a result, egg donors, surrogates, attorneys, and
others often were not paid for the services they provided, and many intended
parents—including some who lived overseas—failed to get the services they paid
for.

“It became like a Ponzi scheme,” Eads explained. “Early
on, some people got the services they paid for. But then Layton began shuffling
funds to cover some clients’ services and not others. And when it all finally
collapsed, nobody was getting anything.”

When confronted by clients, Layton lied about why
payments had not been made and refunds not issued. She led victims to believe
they might soon be paid, when, in fact, many were not. Eventually, several
victims contacted the FBI while others filed reports with the local police
department in Glendora, California. Court records indicate that more than 40
victims lost in excess of $270,000.

Layton maintained she had simply made poor business
decisions, but through interviews, bank records, and e-mail correspondence,
Eads soon uncovered the fraud.

“The scam was apparent, especially when we examined her
bank records,” Eads said. “Layton regularly told clients their checks—which she
never wrote—must have been lost in the mail. She told that to so many people.
That story, told the same way again and again, was a clear indication of her
attempt to hide the truth.”

In 2014, Layton was charged with wire fraud. In a
pre-indictment plea agreement with federal prosecutors, she admitted defrauding
the victims, and in September 2015, a judge sentenced the 38-year-old to 18
months in prison.

Considering the damage that she caused—both financial and
emotional—some of Layton’s victims believe she got off too easy. Eads
understands how they feel. “But as a result of this case,” she said, “Layton is
now a convicted felon, and part of the plea she accepted is that she can never
work in this industry again.”